There have been growing number of entrepreneurs globally including Nigeria. While there are plenty of free resources available for setting up a business, there are not enough places to take a small loan for business. For many entrepreneurs, the lack of financial capital can be a major hurdle in their journey. This is where small loans come into the picture.
Here are 7 reasons why should not shy away from taking a small loan for your business:
1. Keep Your Savings Intact
Most people dip into their savings to help grow their business. With small loans, you need not touch your savings. The loan will be used as an investment into your business and you can rely on your savings for any urgent or personal expenses.
2. Build Credit
One thing to remember while taking out a small loan is to ensure that you are disciplined in paying the installments. This can help you build a good credit history and can help you with credibility when your business scales and requires bigger loans.
3. Keep the Business to Yourself
One need not rely on investors for financial support by availing a small loan. Bringing in investors to the picture would mean sharing a part of the profits with them.
4. Maintain Cashflow
Most businesses require the cash flow to be smooth. Small loans can help in ensuring this by helping take care of any temporary shortfall in money for paying vendors and others.
5. Ensure Availability of Inventory
Unavailability of capital can be a hindrance in ensuring that one has ample inventory for business. The lack of inventory can disturb the flow of business. Small loans are ideal for such situations.
6. Better Control Over How Much You Borrow
Bigger loans mean larger debts for your business. With small loans, you have complete control over how much you borrow. These loan categories help you ensure that you borrow just the amount you need.
7. Enjoy Low-Interest Rates
Most small loans are offered at lower interest rates. This makes it ideal for business owners of all scales especially young businesses who are yet to make a whole lot of profits.
Small Loans with NowNow
Getting a small loan should not be a big affair. NowNow makes it easier for individuals to get small loans without any hassles. These loans are not just easy but also quick. All one needs is the app and there is no need for even collaterals. NowNow lets users know the interest rates before they can take out the loan and gives complete information about the duration for the loan as well.
NowNow offers a whole world of online financial services which is not limited to just online money transfer services. One can do a whole lot from finding streaming services to online bill payment of electricity.